Brazil hits US$29.2M trade surplus in personal care, perfumery and cosmetics
31 May 2023 --- Data released by the Brazilian Cosmetic, Toiletries and Perfumery Industry Association (Abihpec) reveals that the international trade surplus of the Brazilian personal hygiene, perfumery and cosmetics industry increased by 30.9% in the first four months of 2023, compared to the same period of 2022, hitting the mark of US$29.2 million.
The increase reflects the growth of exports, especially in the month of April this year.
According to figures from the organization, from January to April 2023, the cosmetics sector accumulated US$289.3 million in exports, an increase of 17.2%.
This performance took the sector to the highest surplus mark in the last 10 years in this four-month period.
In imports, the total result was US$260 million in this time frame, an increase of 15.8%, compared to the same period of last year.
For João Carlos Basilio, CEO of Abihpec, the performance in the first four months of this year, especially in April, allows for optimism and favorable projections with a surplus balance for the end of the year.
From January to April 2023, the Brazilian cosmetics sector accumulated US$289.3 million in exports, an increase of 17.2% from the same period of the previous year.“Even with the current obstacles to exports to Argentina, the increase in prices of final goods and international logistical costs, our sector has achieved expressive export values in 2023 [translated from Portuguese],” he remarks.
Growth in skin creams and tanners
In April 2023, sector exports reached US$81.7 million, an increase of 25.5% compared to the same month of the previous year. Imports totaled US$62.6 million, an increase of 9.2% compared to April 2022 (US$57.3 million).
The international trade flow in April reached US$144.3 million, an increase of 17.9% compared to the same period in 2022 (US$122.4 million).
The trade balance surplus in the month of April showed a surplus of US$ 19.1 million, an increase of 144.9% in relation to the surplus balance of the previous year, contributing to the best mark in 10 years.
The category with the highest growth in exports was skin creams/protectors/tanning products (72%). Other highlights were hair products (18.4%) and soaps (29.8%).
Over the last year, personal care and cosmetics industry suppliers Amyris and Univar Solutions have each ramped up development plans in the country.
Local market dynamics
There have also been reports of market dynamics in Brazil reflecting similar trends abroad. While there is little data on the worth of the natural cosmetics market in Brazil, for instance, a few brands reported a growth of 300%.
Abihpec puts the sales growth of Brazil’s personal hygiene, perfumery and cosmetic products at 4.7% in the last three years.
Researchers from the Federal Technological University of Paraná in Brazil recently highlighted sociodemographic factors such as education level, earning capacity, age and frequency of use as having a significant bearing on local purchases of natural or eco-friendly cosmetic creams.
Among trend-driven business activities, sun care product launches continue to proliferate in Brazil, prompting a new Univar Solutions and Croda distribution agreement earlier this month to diversify mineral sunscreens and bolster the Solaveil, Infraveil and Optisol product ranges.
In other local developments, Brazil partially banned animal testing for personal hygiene products, cosmetics and perfumes. However, Humane Society International has argued that the nation’s continued import of cosmetics may leave leeways for animal-tested cosmetics.
By Benjamin Ferrer
